Key Takeaways
- • NFL owners approved a deal creating a joint venture between 32 Equity, the league's in-house investment platform, and private equity firm General Atlantic, according to Sports Business Journal.
- • Terms of the joint venture were not disclosed.
- • 32 Equity was founded by the NFL in 2013, with each of the 32 teams contributing $1 million to seed the fund; two subsequent capital calls have grown it to about $250 million, excluding investment returns.
- • The fund has invested in 42 companies per PitchBook, including Fanatics, On Location, Clear and the pro flag football league with TMRW Sports.
- • General Atlantic, with about $130 billion under management, brings stakes in Athletic and 49% of Mexican soccer club Club América.
Summary
NFL owners on Tuesday approved a joint venture between 32 Equity, the league's in-house investment platform, and General Atlantic, the private equity firm. Sports Business Journal reported the deal, and Bloomberg first reported it. The terms were not disclosed.
The arrangement follows roughly 11 months after NFL Chief Financial Officer Christine Dorfler told SBJ that discussions were underway about growing 32 Equity. At that time she said, "It's been very successful, but is there a different structure that can help us scale it even further?" The joint statement from the parties says General Atlantic and 32 Equity aim to advance new ways for people to experience and engage with sports, broaden access across markets globally, and back innovative companies developing new technologies, platforms and experiences.
32 Equity was founded by the NFL in 2013, with each of the league's 32 teams contributing $1 million to seed it. Two subsequent capital calls have brought the fund to about $250 million, not including investment returns. According to PitchBook, it has invested in 42 companies, including Fanatics, On Location, Clear and the new professional flag football league with TMRW Sports and other investors.
SBJ reported that some owners and executives had pushed the league to be more aggressive. A source familiar with the deal said General Atlantic shares the view that substantial growth remains in sports media, fan engagement, ticketing, hospitality, consumer products, and support technology and services. 32 Equity is led by Sumit Varshney, senior vice president of Corporate Strategy and Strategic Investments, who reports to Dorfler. PJT Partners advised 32 Equity on the partnership.
General Atlantic manages about $130 billion and holds stakes in the non-alcoholic beer brand Athletic and 49% of Mexican soccer club Club América.
The arrangement follows roughly 11 months after NFL Chief Financial Officer Christine Dorfler told SBJ that discussions were underway about growing 32 Equity. At that time she said, "It's been very successful, but is there a different structure that can help us scale it even further?" The joint statement from the parties says General Atlantic and 32 Equity aim to advance new ways for people to experience and engage with sports, broaden access across markets globally, and back innovative companies developing new technologies, platforms and experiences.
32 Equity was founded by the NFL in 2013, with each of the league's 32 teams contributing $1 million to seed it. Two subsequent capital calls have brought the fund to about $250 million, not including investment returns. According to PitchBook, it has invested in 42 companies, including Fanatics, On Location, Clear and the new professional flag football league with TMRW Sports and other investors.
SBJ reported that some owners and executives had pushed the league to be more aggressive. A source familiar with the deal said General Atlantic shares the view that substantial growth remains in sports media, fan engagement, ticketing, hospitality, consumer products, and support technology and services. 32 Equity is led by Sumit Varshney, senior vice president of Corporate Strategy and Strategic Investments, who reports to Dorfler. PJT Partners advised 32 Equity on the partnership.
General Atlantic manages about $130 billion and holds stakes in the non-alcoholic beer brand Athletic and 49% of Mexican soccer club Club América.
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